Butter an 8 by 8-inch baking dish or silicone mold and set aside.
Mix all ingredients in a large microwave safe bowl (the mixture will bubble up so make sure there is lots of room in the bowl).
Microwave on high for 6-7 minutes, stirring every 90 seconds.
Using hot pads, carefully remove bowl from microwave. Add in salt, vanilla extract and mix well.
Pour into a small, buttered dish or a silicone mold and allow to cool completely. You can allow the caramel to set in the refrigerator for about 30 minutes. Cut into small squares or desired shape. When using silicone mold, you unmold and wrap them up.
Notes
Helpful Tips for Making the Caramel
use a microwave-safe glass bowl, not a plastic one, since the mixture becomes very hot.
I recommend you use a large glass bowl.
Don't use the full 7 minutes, mainly when your microwave works at full power of 100%.
Test the caramel after 6 minutes using the ice water test. Drop a small amount of the caramel into ice-cold water; when it is pliable and chewy, the caramel is ready.
Please take caution when taking the caramel out of the microwave since it can be hot.
Don't use salted butter because it will splatter a lot.
Avoid placing the glass bowl on a cold surface after removing it from the microwave.